Question
Problem 18-06 Calculating Costs of Issuing Debt (LG18-4) Harper's Dog Pens, Inc. with the help of its investment bank, recently issued $199.9 million of new
Problem 18-06 Calculating Costs of Issuing Debt (LG18-4)
Harper's Dog Pens, Inc. with the help of its investment bank, recently issued $199.9 million of new debt. The offer price on the debt was $1,000 per bond and the underwriter's spread was 5 percent of the gross proceeds.
Calculate the amount of capital funding Harper's Dog Pens raised through this bond issue.(Enter your answer in dollars not in millions.)
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
12th edition
978-0324597714, 324597711, 324597703, 978-8131518571, 8131518574, 978-0324597707
